Quantum Cites Risk List 2011 as More Evidence for Strategic Metals and Rare Earth Action

2011-10-26 05:32 PT - News Release

 Mr. Peter Dickie reports

The Risk List 2011, a new report by the British Geological Survey, is being cited by Quantum Rare Earth Developments Corp. chief executive officer Peter Dickie as further evidence that the world needs more sources of rare earth and strategic metals in secure locations. The Risk List 2011 demonstrates that the concentration of elements and production which are vital to key industries is present in a small number of countries, including China.

"Once again, a major governmental authority is sounding an alarm that the supply is not secure for the materials required to sustain the economies, security and lifestyle of modern, industrial societies," Mr. Dickie said. "The Risk List affirms warnings on rare earths and strategic metals, like niobium, that have been sounded in the U.S. We need to develop and stockpile these materials as soon as possible to avoid the potential risk of supply disruptions or price hikes that are inherent in single-supply, or limited-supply sourcing."

The Risk List 2011 takes into account not only "the abundance of elements in the Earth's crust" but also "the location of current production and reserves, and the political stability of those locations. The restricted supply base combined with the relatively low political stability ratings for some major producing countries, significantly increase risk to supply."

Near the top of the Risk List 2011, ranked equally with rare earth elements, is the vital strategic metal niobium. Currently, over 90 per cent of world production of niobium is limited to Brazil. Niobium has a range of strategic industrial uses, including high-strength alloys in fighter planes and natural gas pipelines. Quantum has determined a large inferred resource of niobium located at Elk Creek, Nebraska. Quantum has also drilled substantial intercepts of four primary rare earth elements elsewhere on its 14-square-mile site at Elk Creek, including lanthanum, cerium, praseodymium and neodymium.

The Risk List 2011 is available on-line. The British Geological Survey is responsible for advising the U.K. government on all aspects of geoscience as well as providing impartial geological advice to industry, academia and the public.

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